Electroindustry Business Conditions Index

​The EBCI indexes are based on the results of a monthly survey of senior managers at NEMA member companies and are designed to provide a measure of changes in the business environment facing electrical equipment manufacturers.

November 2016

NEMA EBCI panel members, all of whom responded to the November survey
after the election results were known, pushed the current conditions index further
into positive territory, moving it from 55.6 in October to 57.9 this month.
While a relatively small share of our panel, 11 percent, rated conditions worse
this month, it marks an increase over the 6 percent responding similarly in
October. The share of respondents that noted unchanged conditions dropped 15
points, sliding from 78 percent last month to 63 in November. Twenty-six
percent of survey respondents reported better conditions, compared to 17
percent in October.​ EBCI results 20161130nm.pdf

October 2016

With respondents no longer expressing concern over monetary policy
uncertainty and noting that the conclusion of the 2016 election season was
near, NEMA’s Electroindustry Business Confidence Index (EBCI) returned to
expansionary territory with a score of 55.6. The vast majority of respondents,
78 percent, reported conditions unchanged in October, compared to 47 percent
last month. Only 6 percent faced worse conditions this month versus 29 percent
in September. The share of respondents seeing better conditions fell 7 points
from 24 percent last month to 17 percent in October.​ EBCI results 20161026nm.pdf

September 2016

The six month run of NEMA’s Electroindustry Business Conditions Index
(EBCI) scoring 50 or higher has ended with September’s result of 47.1. Dropping
below 50 suggests that current conditions are no longer conducive for expansion
in the electrical manufacturing sector. Only 24 percent of respondents reported
better conditions in September, versus 33 percent last month. The share of
respondents reporting worse conditions nearly doubled from 17 percent in August
to 29 percent this month, while the proportion of panel members who noted
unchanged conditions showed little movement—47 percent this time compared to 50
percent last month.​ EBCI results 20160928nm.pdf

August 2016

In moving up to August’s current conditions reading of 58.3, NEMA’s
Electroindustry Business Conditions Index (EBCI) has been at or above 50 for
six consecutive months. This suggests that conditions continue to be conducive
for expansion in the electrical manufacturing sector. A plurality of
respondents, 50 percent, reported conditions unchanged from a month ago,
whereas a clear majority of 64 percent responded similarly in July.
Thirty-three percent of our panel reported better conditions in August,
compared to only 21 percent who responded that way last month. Although the
share of respondents reporting worse conditions remained low at 17 percent this
month, the slight increase over 14 percent in July bears watching as we move
forward.​ EBCI results 20160831nm.pdf

July 2016

NEMA’s Electroindustry Business Conditions Index (EBCI) remained above
50 again in July, signaling that conditions continue to be conducive for
expansion in this sector. However, the current conditions index retreated back
toward the threshold point from 59.4 in June to 53.6 this month. A majority of
July’s respondents, 64 percent, reported conditions unchanged from a month ago,
which is up substantially from the 44 percent who thought so in June.
Unsurprisingly, the share of those reporting better conditions dropped from 38
percent in June to 21 percent this month, while the proportion of respondents
who noted worse conditions declined as well, but only by 5 points from 19
percent last month to 14 in July.​ EBCI results 20160727nm.pdf

June 2016

June marks the third consecutive month in which NEMA’s Electroindustry
Business Conditions Index (EBCI) improved. The current conditions index
increased from May’s reading of 53.3 to reach 59.4 in June. More respondents
saw change in business conditions, for better or worse, than did so in May.
Thirty-eight percent of respondents reported better conditions in June, up from
only 20 percent of those responding in May while 19 percent indicated worse
conditions, up from 13 percent in the previous month. Forty-four percent noted
that conditions were unchanged this month, down considerably from the 67
percent reporting unchanged conditions in May.​ EBCI results 20160629nm.pdf

May 2016

NEMA’s Electroindustry Business Conditions Index (EBCI) rose in May,
edging up to 53.3 points from 50 in April. Twenty percent of panelists reported
conditions improved in May, similar to April’s 19%, but only 13% reported the
business environment worsened in May, down from 19% in April. Two-thirds
claimed conditions were unchanged in May, similar to the 63% who held this view
a month ago.​ EBCI results 20160525nm.pdf

April 2016

NEMA’s Electroindustry Business Conditions Index (EBCI) continued its
recent volatile behavior, dropping to a neutral 50 points in April after
surging to 64.7 in March from 44.4 in February. Nineteen percent of panelists
reported conditions improved in April, down from 41% in March. Another 19%
reported the business environment worsened in April, up from 12% in March. The
vast majority, though, claimed conditions were unchanged in April, up from the
47% who held this view a month ago. ​EBCI results 20160427nm.pdf

March 2016

​NEMA’s Electroindustry Business Conditions Index (EBCI) for current
conditions in North America surged in March, climbing to 64.7 from 44.4 the
previous month as more panelists reported conditions improved than eroded.
Compared to February, a larger share of the survey panel reported that business
conditions improved (41% in March compared to 22% in February) and a smaller
share reported that they deteriorated (12% in March compared to 33% in
February). Forty-seven percent claimed conditions were unchanged in March,
similar to the share holding this view a month ago. EBCI results 20160330nm.pdf

February 2016

​NEMA’s Electroindustry Business Conditions Index (EBCI) for current
conditions in North America fell back in February, dropping to 44.4 from 50 the
previous month as more panelists reported conditions eroded than improved.
Compared to January, smaller shares of the survey panel reported both that
business conditions improved (22% in February compared to 41% in January) and
that they deteriorated (33% in February compared to 41% in January). A
plurality of panelists (44%) claimed conditions were unchanged in February. A
considerably smaller 18% held this view a month ago. EBCI results 20160224nm.pdf

January 2016

​After a sizable decline in December, NEMA’s Electroindustry Business Conditions Index (EBCI) for current conditions in North America rebounded in January. The index climbed to 50 from 41.2 the previous month, with an equal share of panelists (41%) reporting that conditions improved and that they deteriorated. Eighteen percent of the panelists stated that the business environment was unchanged.

Meanwhile, the EBCI for future North American conditions jumped to 67.6 in January from 52.9 in December. A larger share of panelists in January (53%) expect conditions to improve over the next six months than believe they will deteriorate (18%). Twenty-nine percent expect to see no change in business conditions. EBCI results 20160127nm.pdf